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REVENUES
 6 Months Ended 12 Months Ended
Jun. 30, 2021
Dec. 31, 2020
Rocket Lab USA, Inc.    
REVENUES
(3)
REVENUES
The Company disaggregates revenue by reportable segment and revenue recognition pattern, as it believes these categories best depict how the nature, timing and uncertainty of revenue and cash flows are affected by economic factors. The following tables provide information about disaggregated revenue and a reconciliation of the disaggregated revenue during the six months ended June 30:
 
    
Six-Months Ended June 30, 2021
  
Revenues by recognition model
   
        2021        
     
        2020        
  
Point-in-time.
    $  26,815      $  7,534  
Over-time
      2,657        1,219  
  
 
 
     
 
 
  
Total revenue by recognition model
      29,472        8,753  
  
 
 
     
 
 
  
The timing of revenue recognition, billings, and cash collections results in billed accounts receivable, unbilled receivables (presented within Contract assets) and customer advances and deposits (presented within Contract liabilities) on the condensed consolidated balance sheets, where applicable. Amounts are generally billed as work progresses in accordance with agreed-upon milestones. These individual contract assets and liabilities are reported in a net position on a
contract-by-contract
basis on the condensed consolidated balance sheets at the end of each reporting period.
The following table presents the balances related to enforceable contracts as of June 30, 2021 and December 31, 2020:
 
    
June 30,
2021
     
December 31,
2020
  
Contract balances
      
Accounts receivable
    $ 22,355      $ 2,730  
Contract assets
      843        2,045  
Contract liabilities
      (31,138 )       (26,132 ) 
Changes in contract liabilities were as follows:
 
Contract liabilities, at December 31, 2020
    $ 26,132  
Customer advances received
      17,116  
Recognition of unearned revenue
      (12,110 ) 
Contract liabilities, at June 30, 2021
    $ 31,138  
The revenue recognized from the contract liabilities consisted of the Company satisfying performance obligations during the normal course of business.
The amount of revenue recognized from changes in the transaction price associated with performance obligations satisfied in prior years during six months ended June 30, 2021 and 2020 was not material.
Remaining unsatisfied performance obligations represent the total dollar value of work to be performed on contracts awarded and in progress. The amount of remaining unsatisfied performance obligations increases with new contracts or additions to existing contracts and decreases as revenue is recognized on existing contracts. Contracts are included in the amount of remaining unsatisfied performance obligations when an enforceable agreement has been reached. Remaining unsatisfied performance obligations totaled $141,371 and $82,039 as of June 30, 2021 and December 31, 2020, respectively. Of the $
141,371
June 30, 2021 balance, approximately 72% is expected to be recognized within 12 months, with the remaining 28% to be recognized beyond 12 months.
3.
REVENUES
The Company disaggregates revenue by reportable segment and revenue recognition pattern, as it believes these categories best depicts how the nature, timing and uncertainty of revenue and cash flows are affected by economic factors. The following tables provide information about disaggregated revenue and a reconciliation of the disaggregated revenue during the years ended December 31:
 
    
2020
         
    
Launch
Services
     
Space
Systems
     
Total
  
Revenues by recognition model
         
Point-in-time
    $ 31,993      $ 1,910      $ 33,903  
Over-time
      1,092        165        1,257  
  
 
 
     
 
 
     
 
 
  
Total revenue by recognition model
    $ 33,085      $ 2,075      $ 35,160  
  
 
 
     
 
 
     
 
 
  
    
2019
         
    
Launch
Services
     
Space
Systems
     
Total
  
Revenues by recognition model
         
Point-in-time
    $ 26,361      $ —        $ 26,361  
Over-time
      22,038        —          22,038  
  
 
 
     
 
 
     
 
 
  
Total revenue by recognition model
    $ 48,399      $ —        $ 48,399  
  
 
 
     
 
 
     
 
 
  
The timing of revenue recognition, billings, and cash collections results in billed accounts receivable, unbilled receivables (presented within Contract assets) and customer advances and deposits (presented within Contract liabilities) on the consolidated balance sheets, where applicable. Amounts are generally billed as work progresses in accordance with agreed-upon milestones. These individual contract assets and liabilities are reported in a net position on a
contract-by-contract
basis on the consolidated balance sheets at the end of each reporting period.
The following table presents the balances related to enforceable contracts as of December 31:
 
    
2020
     
2019
  
Contract balances
      
Accounts receivable
    $ 2,730      $ 1,185  
Contract assets
      2,045        7,064  
Contract liabilities
      (26,132 )       (10,211 ) 
Changes in contract liabilities were as follows:
 
    
2020
     
2019
  
Contract liabilities, beginning of year
    $ 10,211      $ 11,590  
Customer advances received
      24,694        8,672  
Recognition of unearned revenue
      (8,773 )       (10,051 ) 
  
 
 
     
 
 
  
Contract liabilities, end of year
    $ 26,132      $ 10,211  
  
 
 
     
 
 
  
The revenue recognized from the contract liabilities consisted of the Company satisfying performance obligations during the normal course of business.
The amount of revenue recognized from changes in the transaction price associated with performance obligations satisfied in prior years during the years ended December 31, 2020 and 2019 was not material.
Remaining unsatisfied performance obligations represent the total dollar value of work to be performed on contracts awarded and in progress. The amount of remaining unsatisfied performance obligations increases with new contracts or additions to existing contracts and decreases as revenue is recognized on existing contracts. Contracts are included in the amount of remaining unsatisfied performance obligations when an enforceable agreement has been reached. Remaining unsatisfied performance obligations totaled $82,039 as of December 31, 2020, of which approximately 83% is expected to be recognized within 12 months, with the remaining 17% to be recognized beyond 12 months.